Laramie County voters asked to renew some taxes

Nov. 4—CHEYENNE — Voters in Laramie County are being asked to renew the longstanding fifth-penny sales tax and the county lodging tax on the Nov. 8 general election ballot.

Both measures appear on the ballot every four years, and have never gone without renewal since their creation.

A "yes" vote will support continuing a 1% county sales and use tax that funds a variety of government services. A separate ballot measure would reauthorize a 2% tax on the "price paid for sleeping accommodations in hotels, motels, trailer parks, campgrounds, dude ranches, short-term condominiums and other similar establishments."

Cheyenne and county officials urge voters to pass the measures, saying they have major impacts on the community and help fund public services.

Fifth-penny

The fifth-penny sales tax has been used in Laramie County since 1978. It was created to fund maintenance and improvement of roads, and other infrastructure projects, as well as local agencies such as Cheyenne Fire Rescue, the Laramie County Sheriff's Department and Cheyenne Animal Control.

Of the 23 counties in Wyoming, only one doesn't have the same sales tax rate as Laramie County.

Laramie County commissioners have the authority to institute the tax by resolution. In an interview, County Commissioner Chairman Troy Thompson said the governing body has never wanted to take the vote away from residents.

"The fifth penny is vitally important to not only city and county government, but to some of those partner agencies, like the library, that utilize these funds for materials," County Commissioner Gunnar Malm told the Wyoming Tribune Eagle. "In the county, obviously it's a large chunk of our public works budget. The other large portion that comes from the fuel taxes comes down from the state."

Malm said the tax isn't based on accomplishing a total collection amount like the sixth-penny sales tax, ending the tax when the goal is fulfilled. Instead, it is continually collected throughout the four-year period.

While the city has specific projects and allocations set aside, the county divides it into percentages. Thompson said public works receives the largest portion, at 69%. The library receives 10%, around 6.5% is spent on health and welfare, 5.5% goes to public safety, 2.5% is for fire protection, and the other smaller portions go to general government, capital outlay, economic development and recreation.

Cheyenne plans to utilize $40 million for road maintenance and construction, and another $10 million will go to other agencies. This will be allocated for items such as emergency equipment, replacing police cars or upgrading fire and rescue vehicles, and community recreation facilities.

Lodging tax

Visit Cheyenne President and CEO Domenic Bravo is a major proponent of the Laramie County lodging tax.

It has been in place since the 1980s. The tax is a total of 4%, with 2% approved by the county through a resolution, and 2% required by Wyoming statute.

Bravo emphasized that residents don't pay the tax, unless they take a staycation. He said the return on the investment for those who live here is high.

"We're saving Laramie County families about $700, almost $800 a year in taxes they don't have to pay. On top of them not paying the lodging tax, we're also saving them in sales taxes just by enticing visitors to come," he told the WTE. "There's many other features that the lodging tax goes to just improving the quality of life for our residents, while at the same time being a major economic driver."

The tax also helps fund close to 90% of Visit Cheyenne, which itself promotes the local tourism industry.

According to the visitor bureau's 2021 annual report, $415.7 million was spent on traveling to Laramie County. Close to $16.6 million was generated from state and local travel tax receipts, and more than 3,000 jobs are supported by tourism.

"It is actually converted to direct spending in our community, which is pretty impressive," Bravo said.

Jasmine Hall is the Wyoming Tribune Eagle's state government reporter. She can be reached by email at jhall@wyomingnews.com or by phone at 307-633-3167. Follow her on Twitter @jasminerhphotos and on Instagram @jhrose25.